Suppose the Digby company shifts focus to only competing in the Thrift and Nano segments, while competing on price by reducing costs and passing the savings to the customers, what strategy would they be implementing

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Answer 1

Answer:

Niche cost leader strategy

Explanation:

In simple words, A niche cost pioneer or leader aims to exploit consumer markets that are price responsive. Its objective is to undercut all rivals' costs while remaining sustainable. Under this business strategy, the producer try to create a strong customer base by offering lower prices as it is the best motivation for the customer to try a specific product.

Thus, from the above we can conclude that the correct answer is niche cost leader.

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